Final results for the year ended 31 May 2011

RNS Number : 8376P

Hummingbird Resources PLC

10 October 2011

 

Hummingbird Resources plc

("Hummingbird" or the "Company") (AIM: HUM)

Final results for the year ended 31 May 2011

Hummingbird Resources plc announces its final results for the year ended 31 May 2011.

Highlights - for the year

·    Maiden Resource of 812,000 ounces Au announced in December 2010

·    Successful AIM IPO raising US$40m gross proceeds

·    Joint venture with Petmin Limited on Mt Ginka licence

·    Positive aeromagnetic survey over Mt Ginka iron ore licence completed

Highlights - following the year end

·    Resource upgrade to 1,765,000 ounces Au announced in September 2011

·    Grade of Indicated Resource increased by approximately 20% to 1.289g/t Au

·    Drilling commenced at the Tuzon anomaly, based on strongest trenching results to date

·    Petmin Limited increased stake in Mt Ginka to 50% for total investment of US$2m into the joint venture company, Iron Bird Resources Inc

·    Programme of trenching, sampling and scout drilling commenced at Mt Ginka

Table showing total current resource at the Dugbe Project

			Current	December 2010
	Tonnes (millions)	Grade (g/t) Au	Ounces Au	Ounces Au	Increase
Indicated*	33.13	1.289	1,373,000	552,000	149%
Inferred*	9.88	1.233	392,000	260,000	51%
All*	43.01	1.276	1,765,000	812,000	117%

*At a cut off of 0.5g/t Au and no upper cut off

Table showing attributable resource at the Dugbe F Project

			Current	December 2010
	Tonnes (millions)	Grade (g/t) Au	Ounces Au	Ounces Au	Increase
Indicated*	31.31	1.291	1,300,000	552,000	136%
Inferred*	9.42	1.244	377,000	260,000	45%
All*	40.73	1.280	1,677,000	812,000	107%

*At a cut off of 0.5g/t Au and no upper cut off

The difference between the total and attributable resource statements is due to the deposit being within both the 100% Hummingbird owned Dugbe licence area and the 80% Hummingbird owned Joe Village licence area.

Commenting today, Dan Betts, CEO of Hummingbird, said:

"I am pleased to announce our final results, and our annual report will be distributed shortly. The Company has had a very successful year. We discovered and announced our maiden gold Resource. We successfully listed the Company on the AIM market and were well received in our over subscribed Initial Public Offering. Since the year end we have continued to make rapid progress in Liberia. Our recently announced Resource upgrade makes Hummingbird's Dugbe F project one of the fastest growing gold Resources in West Africa this year.  

With the teams that we have in place, the geological potential of the ground under licence and sufficient cash reserves in place to see us through our IPO exploration timetables, I am very encouraged about the Company's prospects for the next 12 months."

David Pelham has reviewed and approved the technical information contained within this announcement in his capacity as a qualified person, as required under the AIM rules.  David Pelham is Technical Director of the Company and is a member of the Institute of Materials, Minerals and Mining.

ENDS

Enquiries:

Hummingbird Resources plc

Daniel Betts, Chief Executive Officer

Thomas Hill, Chief Financial Officer and Company Secretary

Robert Monro, Corporate Development [phone]

Liberum Capital Limited

Nominated Adviser and Joint Broker

Tom Fyson / Richard Bootle [phone]

Mirabaud Securities LLP

Joint Broker

Peter Krens [phone]

Yellow Jersey PR Limited

Dominic Barretto

[phone]

Notes to Editors

Hummingbird Resources plc is an AIM quoted mineral exploration company incorporated in England and Wales and headquartered in London. Since its establishment in November 2005, the Group has been active in Liberia, West Africa, and is currently the holder of the largest area of mineral exploration ground in the highly prospective Birimian geological region of eastern Liberia.

The Group's most advanced gold exploration has taken place in the Dugbe and Joe Village licences, with a recently upgraded gold resource at the Dugbe F Project of 43.01 million tonnes at 1.28 g/t Au to give 1,765,000 ounces of gold using a lower cut-off grade of 0.5 g/t Au and no upper cut-off grade (Indicated Resource of 1,373,000 ounces of gold at 1.29 g/t Au and an Inferred Resource of 392,000 ounces of gold at 1.23 g/t Au). The exploration has been based on sound geological premises and has been executed in an efficient and practical manner according to best industry practices.

The Group currently holds exploration licences covering approximately 7,000 square kilometres in total, which constitutes a significant proportion of eastern Liberia containing the Birimian sequence.

For more information, please visit www.hummingbirdresources.co.uk

Consolidated Income Statements for the year ended 31 May 2011

	Note	2011 $'000	2010 $'000
Continuing operations
Revenue		-	-
Profit on deemed disposal		425	-
Share-based payments		(1,141)	(67)
Other administrative expenses		(2,588)	(1,219)
Administrative expenses		(3,304)	(1,286)
Finance income		723	7
Finance expense		-	(10)
Share of joint venture loss		(29)	-
Loss before tax		(2,610)	(1,289)
Tax		-	-
Loss for the year attributable to equity holders of the parent		(2,610)	(1,289)
Loss per ordinary share
Basic and diluted  ($ cents)	3	(5.79)	(4.6)

Consolidated Statement of Comprehensive Income for the year ended 31 May 2011

		2011 $'000	2010 $'000
Loss for the year		(2,610)	(1,289)
Other comprehensive income
Exchange translation differences on foreign operations		-	619
Total comprehensive loss for the year attributable to equity holders of the parent		(2,610)	(670)

Consolidated Balance Sheet as at 31 May 2011

		2011 $'000	2010 $'000
Assets
Non-current assets
Intangible exploration and evaluation assets		17,582	6,801
Property, plant and equipment		1,647	645
Investment in joint venture		394	-
		19,623	7,446
Current assets
Trade and other receivables		417	242
Cash and cash equivalents		32,112	7,569
		32,529	7,811
Total assets		52,152	15,257
Liabilities
Current liabilities
Trade and other payables		1,573	974
Amounts due to joint venture		354	-
Total liabilities		1,927	974
Net assets		50,225	14,283
Equity
Share capital		854	13
Share premium		41,881	16,692
Retained earnings		7,490	(2,422)
Equity attributable to equity holders of the parent		50,225	14,283

Consolidated Cash Flow Statement

		2011 $'000	2010 $'000
Net cash outflow from operating activities		(1,651)	(1,091)
Investing activities
Purchases of intangible exploration and evaluation assets		(10,398)	(1,910)
Purchases of property, plant and equipment		(1,532)	(580)
Interest received		31	7
Net cash used in investing activities		(11,899)	(2,483)
Financing activities
Net proceeds from issue of shares		37,411	10,623
Loans issued		-	80
Loans repaid		-	(40)
Interest paid		-	(5)
Net cash from financing activities		37,411	10,658
Net increase in cash and cash equivalents		23,861	7,084
Effect of foreign exchange rate changes		682	(5)
Cash and cash equivalents at beginning of year		7,569	490
Cash and cash equivalents at end of year		32,112	7,569

Consolidated Statement in Changes in Equity

	Share            capital             $'000	Share        premium              $'000	Retained       earnings            $'000	Cumulative      translation            reserve                $'000	Total              $'000
As at 1 June 2009	10	6,666	(1,220)	(619)	4,837
Exchange translation differences arising on change in functional currency	(2)	(704)	87	-	(619)
Issue of equity shares	5	11,060	-	-	11,065
Expenses of issue of equity shares	-	(330)	-	-	(330)
Total comprehensive loss for the year	-	-	(1,289)	619	(670)
As at 1 June 2010	13	16,692	(2,422)	-	14,283
Issue of shares	241	40,274	-	-	40,515
Expenses of issue of equity shares	-	(3,104)	-	-	(3,104)
Bonus issue (see note 20)	600	(600)	-	-	-
Capital reduction (see note 20)	-	(11,381)	11,381	-	-
Share based payments	-	-	1,141	-	1,141
Total comprehensive loss for the year	-	-	(2,610)	-	(2,610)
As at 31 May 2011	854	41,881	7,490	-	50,225

Notes

1          General information

Hummingbird Resources plc (the 'Company'), is incorporated in Great Britain under the Companies Act. The address of the registered office is 49-63 Spencer Street, Hockley, Birmingham, West Midlands, B18 6DE.

The nature of the Group's operations and its principal activities is the exploration, evaluation and development of mineral exploration targets, principally gold, focused primarily in Liberia.

2          Basis of preparation

The financial statements of the Company for the twelve months ended 31 May 2011 have been prepared in accordance with International Financial Reporting Standards (IFRSs and IFRIC interpretations) issued by the International Accounting Standards Board (IASB) as adopted by the European Union and with those parts of the Companies Act 2006 applicable to companies preparing their accounts under IFRS.

The financial information set out above does not constitute the Company's statutory accounts for the year ended 31 May 2011 or 31 May 2010 but is derived from those accounts.  The auditor's report on those financial statements was unqualified and did not contain a reference, to which the auditors drew attention by way of emphasis and did not contain a statement under s498 (2) - (3) of Companies Act 2006.

3         Loss per Ordinary share

Basic loss per Ordinary share is calculated by dividing the net loss for the year attributable to Ordinary equity holders of the parent by the weighted average number of Ordinary shares outstanding during the year. The weighted average number of ordinary shares outstanding during the period and for the prior periods presented has been adjusted in accordance with IAS 33. The adjustment reflects the 44 for 1 bonus issue that took place on 23 November 2010. The adjustment is made retrospectively as if the bonus issue took place at the start of the relevant comparative period.

The calculation of the basic and diluted loss per share is based on the following data:

	2011   $'000	2010  $'000
Losses Loss for the purposes of basic loss per share being net loss attributable to equity holders of the parent	(2,610)	(1,289)
Number of shares	2011 Number	2010 Number
Weighted average number of Ordinary shares for the purposes of basic loss per share	45,073,464	27,762,309
	2011   $	2010   $
Loss per Ordinary share
Basic and diluted	(5.79)	(4.6)

At the balance sheet date there were 3,150,000 (2010: nil) potentially dilutive ordinary shares. Potentially dilutive ordinary shares include share options issued to employees and Directors. In 2011 the potential ordinary shares are anti-dilutive and therefore diluted loss per share has not been calculated.

4          Availability of accounts

The audited Annual Report and Financial Statements for the 12 months ended 31 May 2011 and notice of AGM will shortly be sent to shareholders and published at:

www.hummingbirdresources.co.uk

 

END

 

 

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